Solutiin manual test bank strategy organizational deisgn and effectiveness (2)

A _____ represents a result or end point toward which organizational efforts are directed.LEARNING OBJECTIVES: ORGT.DAFT.16.02-01 - 02-01 NATIONAL STANDARDS: United States - AACSB: Analy

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1 A _ represents a result or end point toward which organizational efforts are directed.

LEARNING OBJECTIVES: ORGT.DAFT.16.02-01 - 02-01

NATIONAL STANDARDS: United States - AACSB: Analytic

TOPICS: The Role of Strategic Direction in Organization Design

2 Which of the following is an internal factor that is examined by top management to study an organization’s

RATIONALE: Feedback: Managers can study an organization’s effectiveness by examining internal factors

such as the organization’s strengths, weaknesses, distinctive competence, leader style, and past performance.

3 _ means that all the organization's energies and resources are directed toward a focused, unifying, and compelling overall goal

RATIONALE: Feedback: Strategic intent means that all an organization’s energies and resources are

directed toward a focused, unifying, and compelling overall goal.

4 The overall goal for an organization is also called the:

a operating goal

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b decision guideline

c mission

d strategy

RATIONALE: Feedback: The overall goal for an organization is often called the mission—the organization’s

reason for existence.

5 Which of the following describes an organization's shared values and beliefs and its reason for being?

6 _ refers to what sets an organization apart from others and provides it with a distinctive edge for meeting customer

or client needs in the marketplace

RATIONALE: Feedback: Competitive advantage refers to what sets an organization apart from others and

provides it with a distinctive edge for meeting customer or client needs in the marketplace.

7 A company's _ refers to something an organization does especially well in comparison to its competitors

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RATIONALE: Feedback: A company’s core competence is something an organization does especially well

in comparison to its competitors.

8 _ describe specific measurable outcomes and are often concerned with the short run

RATIONALE: Feedback: Operating goals describe specific measurable outcomes and are often concerned

with the short run.

9 Which of the following operating goals pertains to the acquisition of needed material and capital from the environment?

RATIONALE: Feedback: Resource goals pertain to the acquisition of needed material and financial

resources from the environment.

10 _ pertains to the training, promotion, safety, and growth of individuals working in an organization

RATIONALE: Feedback: Employee development pertains to the training, promotion, safety, and growth of

employees It includes both managers and workers.

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11 _ pertain to internal flexibility and readiness to adapt to unexpected changes in the environment

RATIONALE: Feedback: Innovation goals pertain to internal flexibility and readiness to adapt to unexpected

changes in the environment Innovation goals are often defined with respect to the development of specific new services, products, or production processes.

12 _ and mission statements describe a value system for an organization and set an overall purpose and vision

RATIONALE: Feedback: Official goals and mission statements describe a value system for an organization

and set an overall purpose and vision; operating goals represent the primary tasks of an organization.

13 _ involves building an alliance of people who support a manager’s goals and can influence other people to accept and work toward them

RATIONALE: Feedback: Coalitional management involves building an alliance of people who support a

manager’s goals and can influence other people to accept and work toward them.

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14 A _ is a plan for interacting with the competitive environment to achieve organizational goals.

15 In the context of Porter’s strategy model, a(n) can reduce rivalry with competitors and fight off the threat of substitute products because customers are loyal to a company's brand

a low-cost leadership strategy

b consolidative strategy

c integration strategy

d differentiation strategy

RATIONALE: Feedback: A differentiation strategy can reduce rivalry with competitors and fight off the

threat of substitute products because customers are loyal to a company’s brand.

16 In the context of Porter’s strategy model, a(n) is concerned primarily with stability rather than taking risks or seeking new opportunities for innovation and growth

RATIONALE: Feedback: A low-cost leadership strategy is concerned primarily with stability rather than

taking risks or seeking new opportunities for innovation and growth.

17 In Miles and Snow’s strategy typology, the prospector strategy:

a attempts to maintain a stable business environment by finding a middle ground between stability and

innovation

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b most closely resembles Porter's low-cost leadership strategy

c responds to environmental threats in an ad hoc fashion without revealing a clear strategy

d seeks innovation or risk taking and is therefore best suited to a dynamic environment

RATIONALE: Feedback: The prospector strategy is to innovate, take risks, seek out new opportunities, and

grow This strategy is suited to a dynamic, growing environment, where creativity is more important than efficiency.

18 According to Miles and Snow’s strategy typology, the is concerned with stability or retrenchment

RATIONALE: Feedback: The defender strategy is almost the opposite of the prospector Rather than taking

risks and seeking out new opportunities, the defender strategy is concerned with stability or even retrenchment.

19 According to Miles and Snow’s strategy typology, the tries to maintain a stable business while innovating on the periphery

RATIONALE: Feedback: The analyzer strategy tries to maintain a stable business while innovating on the

periphery It seems to lie midway between the prospector and the defender.

20 Organizational _ is the degree to which an organization realizes its goals

a efficiency

b adaptability

c productivity

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21 Organizational effectiveness is a _, meaning that it is created and defined by an individual or group rather than existing independently in the external world

RATIONALE: Feedback: Organizational effectiveness is a social construct, meaning that it is created and

defined by an individual or group rather than existing independently in the external world.

22 The to organizational effectiveness is concerned with the output side and whether an organization achieves its goals in terms of desired levels of output

RATIONALE: Feedback: The goal approach to effectiveness consists of identifying an organization’s output

goals and assessing how well the organization has attained those goals This is a logical approach because organizations do try to attain certain levels of output, profit, or client satisfaction.

23 When using the goal approach to effectiveness, it is best to use goals

a official

b operating

c strategic

d visionary

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RATIONALE: Feedback: When using the goal approach to effectiveness, it is best to use operating goals,

because official goals (mission) tend to be abstract and difficult to measure Operating goals reflect activities an organization is actually performing.

24 The resource-based approach to effectiveness emphasizes the:

a sales targets of an organization

25 Which of the following approaches is most likely to be used when one is measuring work climate, group loyalty, and worker-management communication as measures of effectiveness?

a Quality control approach

b External process approach

c Internal process approach

d Stakeholder approach

RATIONALE: Feedback: The indicators of internal process approach include a strong, adaptive corporate

culture and positive work climate, confidence and trust between employees and management.

26 The _ tries to balance a concern with various parts of an organization rather than focusing on one part

a internal process model

b rational goal model

c open systems model

d competing values model

RATIONALE: Feedback: The competing values model tries to balance a concern with various parts of the

organization rather than focusing on one part.

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27 The two value dimensions of the competing values model are the:

a internal and external environment of an organization

b low-cost leadership and differentiation strategies

c focus and structure of an organization

d productivity strategies of an organization

RATIONALE: Feedback: The two value dimensions of the competing values model are the focus and

structure of an organization.

28 In the context of the competing values model, a combination of external focus and flexible structure leads to a(n) _ where management’s primary goals are growth and resource acquisition

a rational goal emphasis

b open systems emphasis

c internal process emphasis

d human relations emphasis

RATIONALE: Feedback: A combination of external focus and flexible structure leads to an open systems

emphasis Management’s primary goals are growth and resource acquisition.

29 Jason is employed at Cloover Inc At Cloover Inc., management’s primary goals are increasing the ratio of output to input, using the resources used to produce a unit of output efficiently, and generating more revenue than the expenses Cloover Inc.’s management values are represented by _

a the rational goal emphasis

b the open systems emphasis

c the internal process emphasis

d the human relations emphasis

RATIONALE: Feedback: Cloover Inc.’s management values are represented by the rational goal emphasis

The rational goal emphasis represents management values of structural control and external focus The primary goals are productivity, efficiency, and profit.

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NATIONAL STANDARDS: United States - AACSB: Reflective Thinking

30 In the context of the competing values model, the primary outcome of the is a stable organizational setting that maintains itself in an orderly way

a rational goal emphasis

b open systems emphasis

c internal process emphasis

d human relations emphasis

RATIONALE: Feedback: The internal process emphasis reflects the values of internal focus and structural

control The primary outcome is a stable organizational setting that maintains itself in an orderly way.

31 Assessing an organization’s strengths, weaknesses, opportunities, and threats is the first step for any business to

achieve its purpose

a True

b False

RATIONALE: Feedback: Managers know that establishing mission, goals, and strategy is the first step for

any business to achieve its purpose.

32 The direction-setting process typically begins with the administration and execution of the strategic plan

a True

b False

RATIONALE: Feedback: The direction-setting process typically begins with an assessment of the

opportunities and threats in the external environment, including the amount of change, uncertainty, and resource availability.

33 The overall aim of strategic intent is to help an organization achieve a sustainable competitive advantage

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34 Operating goals provide direction for day-to-day decisions and activities within departments in an organization

a True

b False

RATIONALE: Feedback: Operating goals typically pertain to the primary tasks an organization must

perform Specific goals for each primary task provide direction for the day-to-day decisions and activities within departments.

35 Growth and output volume are examples of overall performance goals

a True

b False

RATIONALE: Feedback: Overall performance goals include growth and output volume Growth pertains to

increases in sales or profits over time Volume pertains to total sales or the amount of products or services delivered.

36 For nonprofit organizations, resource goals might include recruiting dedicated volunteers and expanding the

organization’s funding base

a True

b False

RATIONALE: Feedback: For nonprofit organizations, resource goals might include recruiting dedicated

volunteers and expanding the organization’s funding base.

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